Back to the Future
Nov 1, 2007 12:00 PM, By Elaine Misonzhnik
If owners stick with that formula, attracting teenagers and twentysomethings won't be a problem, according to Gronbach. Libby, for example, loves to visit the mall every week, spending up to three hours on each visit.
“Mall traffic will increase enormously in the next five years,” Gronbach adds. “That's because the peak of Generation Y will get their driving licenses, and they will be driving themselves to the mall.”
| Who: | Ages 28 and under in 2007 |
| Likes: | Multimedia mash-ups, free content, telecommuting |
| Dislikes: | Mass marketing, beaten paths, Office Space culture |
| Hobbies: | Googling, social networking, supporting a cause |
| Hangouts: | MySpace, Second Life, Mom and Dad's place |
| Tap that wallet: | $629 billion |
| Source: Iconoculture | |
Old Navy, despite shedding some popularity, remains the top teen apparel chain among teens ages 13 to 18.
| Chain | 2006 | 2003 | Change |
|---|---|---|---|
| Old Navy | 39% | 45% | -6 |
| Gap | 32 | 29 | +3 |
| American Eagle | 30 | 20 | +10 |
| Aeropostale | 27 | 17 | +10 |
| Pac Sun | 23 | 15 | +8 |
| Victoria's Secret | 23 | 25 | -2 |
| Abercrombie & Fitch | 22 | 19 | +3 |
| American Outfitters | 19 | 12 | +7 |
| Hollister | 19 | NA | NA |
| Forever 21 | 15 | NA | NA |
| Limited | 15 | 15 | 0 |
| Banana Republic | 12 | 9 | +3 |
| Limited Too | 10 | NA | NA |
| Eddie Bauer | 9 | 10 | -1 |
| Bebe | 8 | 3 | +5 |
| H&M | 8 | NA | NA |
| J. Crew | 8 | NA | NA |
| L.L. Bean | 8 | NA | NA |
| (Based on teens that answered they “loved” or “liked” shopping at the stores.) Source: Harrison Group |
|||
Surf 'n' shop
Of all the unique characteristics of Generation Y, its close and personal relationship with the Internet tends to cause the most headaches for retailers and shopping center owners. By now, everybody knows that to succeed with this tech-savvy audience, you need a Web site. But some firms, like the Bloomfield Hill, Mich.-based Taubman Centers, Inc., a mall owner with a 24-million-square-foot portfolio, take the trend even further.
This August, for example, Taubman launched a two-monthlong program that gave its teen shoppers the opportunity to use avatars — Internet-based virtual representations of themselves — to send messages to their parents and friends about which items they lusted after. The program was featured at 10 Taubman centers during the back-to-school shopping season.
The mall owner declined to reveal how much money it spent on the program or how much difference it made in back-to-school sales. But it was certainly a worthwhile experience, according to David Goldberg, vice president of marketing and sponsorship with Taubman.
“All I can tell you is that we have more than doubled the
results we projected,” he says. “The reaction from our tenants has been
tremendous — they are talking about parents coming into their stores
with avatar messages. And from our own inbox, we know our customers are
excited about it.”
— E.M.
